An HSA is a type of savings account funded by pre-tax contributions to pay for qualified medical expenses. Using untaxed money in a Health Savings Accounts to pay deductibles, copayments, coinsurance, and some other expenses, you may be able to reduce your out-of-pocket health care costs. Generally, HSA funds cannot be used to pay health plan premiums.
You may establish an HSA only if you have an HSA-qualified High Deductible Health Plan (HDHP). An HSA may earn interest or other earnings, which are not taxable. HSAs are available through banks, credit unions, and other financial institutions.
May also refer to the contract issued by an insurance company for health care, medical services, or hospital services.
“Plan,” generically, could also refer to a non-health-care-related contract, such as an employee pension benefit plan.